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In an oops move, Hutchinson hotel deal tabled by Chatham County

In what almost immediately seemed like an “oops” moment, the Chatham County Commission voted Friday to postpone its decision on extending a controversial agreement with Hutchinson Hotel Holdings for the development of a convention hotel near Savannah International Trade & Convention Center.

Commissioner Tabitha Odell made the motion to table, which was seconded and passed in short order.

Only then did County Attorney Jon Hart point out a possibly unintended consequence of the action:

“The thing you need to know, just for purposes of the record you need to understand that that agreement is going to expire Oct. 10, so when you table it, essentially you’re letting the agreement go away,” he said. “That’s a policy decision.”

But it was too late to change Friday’s vote.

At issue is a memorandum of understanding between the county and Hutchinson Hotel Holdings, which would build the 500-room hotel near the publicly owned trade center using a combination of private financing and $50 million in county-backed bonds.

The agreement already has been extended twice while the county seeks clarification on whether the hotel would qualify for a special tourism sales tax break from the state. A third extension would keep the prospects alive for another 180 days while the county awaits definitive word on the tax break from the Georgia Department of Community Affairs.

The governor’s office already has said it would not qualify a similar project on Jekyll Island for the tax break. Plus, state officials still have not written rules on what projects have to do to qualify.

Rusty Ross, an attorney representing hoteliers opposed to what they see as an unfair government subsidy for their competition, had been ready to speak to the commission.

The bottom line is the memorandum of understanding is dead, Ross said after the vote.

“Technically, it’s not (dead) until the 10th,” he said. “They would have to have a special board meeting to bring it up.”

Commission Chairman Pete Liakakis said that is exactly what he plans to do. On Friday afternoon, he said he didn’t yet have a date for the meeting but that it would be properly advertised with 24-hours notice. It will have to take place before the end of the day Wednesday, when the current extension expires. Normally, the commission’s next meeting would be Oct. 19.

For those opposed to the agreement, such as Commissioner David Gellatly, the tabling was a gift.

“I’ve already talked to Tabitha Odell and said on behalf of the Republicans we appreciate you,” he said.